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Financing in Buffalo : Real Estate Advice

  • All538
  • Local Info45
  • Home Buying242
  • Home Selling30
  • Market Conditions11

Activity 32
Claudia Mull…, Real Estate Pro in Fremont, CA
Thu May 22, 2014
Claudia Muller answered:
When qualifying for investment property, the lender will credit you 75% of the proposed rent. This portion of the rent will be utilized to off set the proposed PITI for the home. Only a portion of the proposed payment will be used in the housing ratio. Therefore, you do qualify for more home. ... more
0 votes 3 answers Share Flag
Debbie Macke…, Real Estate Pro in Windham, NH
Mon Dec 9, 2013
Debbie Mackenzie answered:
Who did you try to go through? I have the same issue but with a drilled well, in NH. I cannot find anyone to do it.
0 votes 2 answers Share Flag
Jason Jurek, Real Estate Pro in West Seneca, NY
Wed Jul 10, 2013
Jason Jurek answered:
It's best to call a Mortgage Specialist. I can recommend a few if you like. You can reach me at 716-997-3444 or Jason.jurek@huntrealestate.com
0 votes 2 answers Share Flag
Trevor Curran, Real Estate Pro in Great Neck, NY
Tue May 28, 2013
Trevor Curran answered:
Good morning maheniraja,

We see many credit reports with low credit scores (anything less than 620), and often many scores in the 500's. This is BAD credit. If you are one of the folks affected by this terrible economy, you have a low credit score and you have a dream of buying a home, here's some simple advice for you.

It is unlikely you could be approved for mortgage financing with that credit score at this time.

Beware of any mortgage professionals promising you an approval with such a low score. Wait on buying a home. I recommend you take the time to resolve your credit issues.

First, settle any outstanding debt. If you owe money on collection accounts, charge-offs and/or judgments, make payment arrangements and get these accounts paid promptly.

Next, begin rebuilding your credit. If you have current accounts with good payment histories, or even some previous late-payment-blemishes, make sure you continue to pay those accounts on time. If you do not have any existing credit accounts then you'll need to establish several in order to create a viable credit history.

I have found that CONSUMER ACTION is an excellent resource for objective advice on all things credit related. You'll find free and sincere advice on everything from settling collection accounts to rebuilding credit to building credit from scratch on their website.
http://www.consumer-action.org/

Beware of anyone offering to "repair" your credit! The Federal Trade Commission issued a stern warning last year that such offers are scams. Find more from the FTC HERE.
http://www.consumer.ftc.gov/articles/0058-credit-repair-how-help-yourself

The best way to buy a home is to have a decent credit history combined with sufficient Income and Assets for a home purchase.

The best way to have a decent credit history is to settle negative outstanding obligations and pay all your bills on time for at least two years.

Trevor Curran
NMLS #40140
Mobile: 516-582-9181
Office: 516-829-2900
Fax: 516-829-2944
PowerHouse Solutions, Inc.
1010 Northern Blvd. Suite 234
Great Neck NY 11021
Licensed Mortgage Banker – NYS Dept. of Financial Services
NMLS#3528

*If you thought my answer was helpful, please give me a “Thumbs Up” or “Best Answer.” Thanks!
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1 vote 3 answers Share Flag
Debra (Debbi…, Real Estate Pro in Livingston, NJ
Sun May 19, 2013
Debra (Debbie) Rose answered:
you'll have to check with local lenders in FL, but there is only 1 bank in my area that still offers no income verification loans - with 40% down.............that probably won't be around much longer, though ... more
0 votes 1 answer Share Flag
Colleen Kuli…, Real Estate Pro in Amherst, NY
Sun Apr 7, 2013
Colleen Kulikowski answered:
Expense that you will have in addition to Your down payment include:you application fee for your mortgage, your home inspection, your attorney, home owners insurance, miscellaneous closing costs and moving expenses. These expenses all vary, but can be a shock to a new home owner and something you should consider before shopping for a home. ... more
0 votes 2 answers Share Flag
Tony Garcia, Real Estate Pro in Wilmington, NC
Sat Apr 6, 2013
Tony Garcia answered:
you can buy with as little as 3% down (conventional financing) or 3.5% with FHA (assuming it is a primary residence. in Buffalo NY closing cost will be around 3% as well. The way FHA financing is priced right now you could get the lender to cover all your closing cost so you would only need 3.5%. email me at tony.garcia@everbank.com if you would like to discuss in more detail.

thanks
... more
0 votes 3 answers Share Flag
Scott Godzyk, Real Estate Pro in Manchester, NH
Sat Mar 30, 2013
Scott Godzyk answered:
The best two tips first are there are no quick credit fixes. that is why credit scores are used becuase they are stable. The best way to raise a credit score is to pay on time and keep blances under half of what your credit limit is. Do not open or close any accounts. The next tip is to meet with a local and trusted loan officer who can prequalify you and then guide your through the buying process. Anyone asking for money for quick creidt fixing just wants your money. ... more
0 votes 7 answers Share Flag
Craig Johnson, Home Buyer in Killeen, TX
Sat Mar 30, 2013
Craig Johnson answered:
In order to do a RTO you will have to be able to pay for whatever the expenses is on the property plus the cash flow that you SHOULD be looking to receive. Otherwise, why are you investing?

IN other words you would need to be able to see a profit at the end of the transaction. You spell that out when you buying the property. You just collect most of it on the back end(when you sell the property)

There are other options in the area to homeownership.

contact me if you need more information
... more
0 votes 2 answers Share Flag
x,  in 10021
Thu Oct 20, 2011
x answered:
You should definitely be able to make this work by presenting the correct information and documentation at the time of application. Make sure you have the complete package ready for the lender, no missing pages, nothing left unsaid etc. Worst thing you can do is make an underwriter make assumptions. I would put together the following: 2 years W2s for you, 30 days of most recent paystubs for you, 2 months bank statements ALL PAGES (even the last one if it is blank but says page x of y) - this account should show the money coming in from the 1099 income, any asset accounts ALL PAGES, husband's 1099 from 2010 + full tax returns from 2010 and 2009 (make sure they are signed and dated and have all schedules), see if you can get the articles of incorporation or the corporate structure documents to show your husband is not an "owner" of the company and thus not really "self employed" (he can simply be termed "chiropractor" on the application - make sure the loan officer does not check the "self employed" box on the application), you could prepare bank statements from Jan1st 2011 to current ALL PAGES that shows his 1099 income, I would prepare a detailed letter of explanation indicating your husband's hire date, why he changed employers, what he was doing previous to starting with his current employer, if he completed any additional coursework that allowed him to get his license etc (include any pertinent diplomas or even go as far as providing a copy of his transcript...) - be as detailed as possible, provide any W2s, K1s, 1099s etc for your husband and you for 2009 and 2010, I would also ask for a verification of employment form from your lender and have them all filled appropriately by all of you and your husband's previous and current employers for the last 2 full years. I know that this seems like a lot, but trust me, if you want to get this done - this is all going to be needed - better to get it all up front, so there is no room for that underwriter assumption that I mentioned. If the income is there and was there prior to July 2010, this is definitely something that can get done. Email me with additional questions.

Ryan McPartland
Investor Support Forensic Underwriter
JPMorgan Chase Bank
ryanjmcpartland@gmail.com
... more
1 vote 9 answers Share Flag
Ryan Walley, Real Estate Pro in Williamsville, NY
Fri Sep 16, 2011
Ryan Walley answered:
The only trouble you should have is the 20-25% equity requirement, and that the rate will be significantly higher than one on your primary residence. Other than that, HSBC and Key Bank both offer them to non-owner occupied investment properties up to 4 units.

Email me and I can refer you a great banker at Key Bank if you'd like.
... more
0 votes 1 answer Share Flag
Bill Lounds, Other/Just Looking in Las Vegas, NV
Tue May 17, 2011
Bill Lounds answered:
Hello Gary ,
My name is Bill and I believe i may have a possible sollution to your financing issues.
Or at lease an alternative that may be benificial to both you and your tenants.
Please visit Reliablenotequote.com in the Articles/report secition read The Seller Finance Solution
its a good size article that was a bit to big to post as an answer to your posted question.
if this information is something that you might like to discuss please let me know.

Sincerly ;
Bill Lounds
reliablenotequote@yahoo.com
reliablenotequote.com
... more
0 votes 3 answers Share Flag
Ruth and Per…, Real Estate Pro in Los Gatos, CA
Sun Apr 10, 2011
Ruth and Perry Mistry answered:
Hi Sara

If you have been a Veteran or the home is in a USDA zone.

Of course you can also pursue hard money lenders.

Good luck.
Perry

Www.ruthandperry.com
0 votes 9 answers Share Flag
Tleatherbarr…, Home Owner in Buffalo, NY
Fri Apr 1, 2011
Tleatherbarrow answered:
Andrea Mills - you didn't answer the question. I am not ignorant. I know it's the banks money. And they will make lots of my money if they make the loan. I am pretty sure that's the way it works. The ability to refi is, I think, based upon ability to pay, not on luck. Thanks for your posting. ... more
2 votes 6 answers Share Flag
MDC,  in Buffalo, NY
Fri Jan 21, 2011
MDC answered:
Hi Auroracouture,

It's great that you're looking into owning, it's much cheaper than Renting here in Buffalo NY, especially if you bought a double, live in one unit and rent the other...then you'd be living for free...in some cases, maybe earn cash flow.
Without credit, you can't get a loan from the bank. There are creative financing that some people in your situation have used. For $15,000 house, you do have 1/3 saved, it may be best to continue saving.
And to start building up your credit, you should open a credit card account...I'd be happy to share more options and things to look out for. Please don't hesitate to contact me.
... more
0 votes 3 answers Share Flag
Ryan Walley, Real Estate Pro in Williamsville, NY
Tue Sep 14, 2010
Ryan Walley answered:
Lots of brokers and bankers are doing investment loans now - with a minimum of 20-25% down based on credit.

I have used Matt Short, broker at Nickel City Funding recently - 716-558-5231
Also Anthony Rijos at Wells Fargo - (716) 204-1511
3rd - Premium Mortgage - Eli Hazan - 807-1344

You've got a lot of people to contact now. Good luck!

If you need guidance in finding that right investment property, just let me know!
... more
0 votes 2 answers Share Flag
Mike B,  in Raritan, NJ
Fri Feb 19, 2010
Mike B answered:
It could be considered a second home, which is priced as a owner-occupied residence. Contact me for more details.
0 votes 4 answers Share Flag
Gregory Cook, Real Estate Pro in Temecula, CA
Mon Oct 19, 2009
Gregory Cook answered:
The lender's basic rule for determining income is "if you don't declare it, you can't use it". Write-offs are considered as deductions to income. You probably feel like you're between a rock and a hard place, but the government is not going to let you have it both ways: undeclared income and then declare for loan purposes.
If you had them paid as part of your W-2 income, you would be in a better position from a loan perspective but would have a higher tax liability.
... more
1 vote 1 answer Share Flag
Dallas Texas, Real Estate Pro in Dallas, TN
Mon Oct 19, 2009
Dallas Texas answered:
More lenders require a 620 credit score and above, 3.5% down payments, 2 years employment.

If your scores are low can't qualify resolve the issues negative credit issues, reduce your debt based on many particulars your score could increase above 620 within 90 days. However if issues are less than two years old you may have wait for approx. another 12 months purchase a home.

Have you consider locating a home lease option buy . Clean your credit then purchase.

National Featured Realtor and Consultant, Texas Mortgage Loan Officer, Credit Repair Lecturer
Follow me on Twitter: http://twitter.com/Lynn911
Lynn911

http://www.lynn911.com
... more
0 votes 6 answers Share Flag
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